**Abstract**

Goats are the indispensable component of rural economy in Nepal where 10.98 million goats accounting for 45.3% of total ruminants contribute to 20.3% of the total meat production and 49.2 million US dollar in the national economy. Being popular as "poor man's cow" and "living cheque," they significantly contribute to food, nutritional, and economic security of the marginalized farmers creating employment opportunities in the country. This chapter has tried to review the existing breeds, their breeding systems, challenges and way forward to enhance production and productivity of goats. Findings revealed that Nepal is endowed with four major indigenous genetic resources of goats and their crosses with Boer, Jamnapari, Barbari, Sirohi, etc. Occasionally, native goat breeds of Nepal were crossed with Kiko and Damascus as well. Breeding of goats in Nepal is mainly based on selection, pure breeding within indigenous flock, and crossbreeding to the available exotic breeds. There have been some biotechnological approaches applied in goat breeding and evaluation of native breeds. Estrus synchronization followed by artificial insemination is currently being practiced. Goats, being the most popular and easy source of household income and family nutrition in Nepal, could be the important source of national revenue provided with improved breeding and other husbandry practices.

**Keywords:** goats, indigenous, breeds, growth, nucleus, multiplier herd
